Chapter 5 - International accounting

Question 1

Whatdo IAS financial statments need to include?

Answer 1

• SFP
• SPL
• A statment showing changes in equity
• A statment of cash flow
• Accounting policies and explained notes

Question 2

1. What is the ‘going concern concept’?
2. IF a company believes that the going concern concept will not apply what infomation should be disclosed?

Answer 2

1. The requirment that an entity is viewed to continue its orporations for the foresseable future (12+ months)
2. The fact itself, the basis on what the accounts have been prepared & the reasons why the entity is not a going concern.